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China smartphone glory days are over as Apple, Xiaomi face tough times

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As China's economy grows at its slowest pace in decades, smartphone market becomes saturated
Yimou Lee and Paul Carsten
Reuters

HONG KONG/BEIJING (Reuters) - China's smartphone boom may be over, as even Apple Inc grapples with a slowing economy and investor darling Xiaomi Inc struggles to stand out amid intense competition in low-margin handsets.

On Tuesday, Apple reported the slowest-ever increase in iPhone shipments as the Chinese market weakened. That slowdown in the world's second-largest economy is threatening to hamstring consumption across the country.

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